Average Revenue Per User (ARPU)

Is one of the crucial revenue metrics for SaaS business model and subscription-related businesses as it represents the average revenue amount that a merchant receives per user for a certain period of time, monthly being the standard. This metric allows merchants to analyze their company's revenue generation and user growth. Subscription service bus...

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Auto-renewal is a billing model and mechanism where the customer's payment details are charged automatically without the customer having to take action, which a written/approved consent has been obtained from the customer earlier. Auto-renewals are typically monthly or annual, and the customer is notified before or after the billing. Usually, auto-...

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Annual Recurring Revenue (ARR)

Annual Recurring Revenue is a metric that shows the amount of sales/revenue a contracted subscription is generating during a one year period.  This metric is calculated by multiplying the amount of recurring revenue a business is generating during a month (also called MRR) by 12 (for 12 months). Tracking the Annual Recurring Revenue metric is ...

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